BMI View: We continue to maintain a positive outlook for the Qatari consumer electronics market and the macroeconomic landscape of the country in general. Qatar will not feel the finch of the prolonged global oil price slump. The economic activity in the country will be bolstered by high incomes, a strong discretionary spending power level, a steady population growth from the influx of migrant workers and the government's continued commitment to investment in the ICT sector. The upcoming FIFA 2022 World Cup taking place in Qatar is also a source of growth at this point and we estimate that it will fuel growth over the next five years . In contrast to other early adopting markets, we envisage medium term growth for device categories including high-end smartphones, tablets and TVs due to the extremely high disposable incomes of Qataris and the strength of the fashion oriented culture of conspicuous consumption . Meanwhile, at the other end of the market the government's expansionary policies have resulted in a rapidly growing population of migrant workers to support the construction and hospitality sectors. This is in turn driving volume growth in the consumer electronics market, while an expanding tourism sector is boosting demand for AV devices.
Latest Updates & Industry Developments
Computer Hardware Sales: We forecast sales of USD771mn in 2014 and forecast this to rise to USD1.0bn in 2019, a compound annual growth rate (CAGR) of 5.5% in US dollar terms. After a decline in tablet volumes in 2014 we expect the market will return to growth over the medium term, but significantly slower than during the initial boom, while notebook upgrades will make an important contribution to value growth 2015-2019.
AV Sales: We forecast growth to increase from USD332mn in 2014 to USD392mn in 2019, a CAGR of 3.4% in US dollar terms. The TV market is stagnant in volume terms, but an increased share of UHD sets in the sales mix will have a disproportionate impact on market value and underpin value growth.
Handset Sales: We forecast growth to rise from USD558mn in 2014 to USD732mn in 2019, a CAGR of 5.6% in US dollar terms. Unlike other regional markets, the premium preference of Qatari consumers means price erosion is not a key dynamic, and therefore value growth will be sustained 2015-2019 by population growth and smartphone upgrades.
|High Incomes And Tech Tastes Insulate Against Price Squeeze|
|Consumer Electronics Demand By Segment|
|e/f = BMI estimate/forecast. Source: BMI|
The Qatar Consumer Electronics Report has been researched at source and features latest-available data covering both the manufacture and sale of consumer electronics products, critically analysing - and forecasting - the market dynamics affecting each sub-sector, including audio-visual, computers, mobile handsets, gaming and automotives electronics. Furthermore, the report analyses the domestic and global economic trends driving device demand and provides company rankings and competitive landscapes covering leading multinational and national consumer electronics companies and analysis of latest industry news and trends in Qatar.
BMI Research's Qatar Consumer Electronics Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the consumer electronics industry in Qatar.
- Benchmark BMI's independent consumer electronics industry forecasts for Qatar to test other views - a key input for successful budgeting and strategic business planning in the Qatari consumer electronics market.
- Target business opportunities and risks in Qatar through our reviews of latest industry trends and major deals, projects and investments.
- Exploit the latest competitive intelligence with company SWOT analyses.
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering consumer electronics, major investments and projects.
Consumer Electronics Market
Analysis of the size of the domestic market for electronics products, with in-depth assessment and data covering the dynamics driving each sub-sector; audio-visual, computers, mobile phone handsets and gaming devices, as well as demand for automotives electronics.
Analysis and data of the domestic electronics manufacturing sector. We assess the regulatory and business operational issues facing manufacturers - including openness to foreign investment, infrastructure, IP issues and the global demand context - and their impact on the production of electronics goods, which is again broken down via market sub-sectors.
Industry Forecast Scenario
Historic data series and forecasts to end-2018 for all key industry and economic indicators (see list below), supported by explicit assumptions, plus analysis of key risks to the main forecast, covering computers, communications and gaming devices. Indicators include:
Industry value (US$bn); population (mn); nominal GDP (US$bn); real GDP growth (%), GDP per capita, industrial production Index (% y-o-y ave.) unemployment % of labour force.
Business Environment Rankings
BMI's Consumer Electronics Business Environment Rankings provide a country-comparative Risk-Reward Rankings index aimed at investors and participants in the regional consumer electronics market. The rankings methodology makes sophisticated use of over 40 industry, economic and demographic data points.